Jim Donnan Facing Federal Charges In $80 Million Ponzi Scheme

Former University of Georgia football head football coach Jim Donnan is facing federal charges of fraud for his part in a Ponzi scheme estimated at $80 million, according to the Securities and Exchange Commission. The SEC announced the charges against Donnan and his business partner Gregory Crabtree on Thursday.

The Atlanta Journal-Constitution reports that the scheme, according to the SEC (not that one), was conducted through a West Virginia liquidation company that claimed to it was buying leftover merchandise from major retailers and re-selling it:

Donnan and Crabtree "promised investors exorbitant rates of return ranging from 50 to 380 percent," [SEC spokesman John] Nestor said. "However, only about $12 million of the $80 million raised from nearly 100 investors was actually used to purchase leftover merchandise, and the remaining funds were used to pay fake returns to earlier investors or stolen for other uses by Donnan and Crabtree."

Donnan was head coach at Georgia from 1996 to 2000 after five season as the head coach at Marshall. He went 40-19 as the Bulldogs' head coach and was the first head coach in UGA history to coach the team to four consecutive bowl victories.

For a look at the SEC's official public statement regarding the charges against Donnan and Crabtree, click here.

For more Georgia spots, visit Dawg Sports. For more college football news, head to SB Nation NCAA Football.

Check out the SB Nation Channel on YouTube

Trending Discussions

X
Log In Sign Up

forgot?
Log In Sign Up

Please choose a new SB Nation username and password

As part of the new SB Nation launch, prior users will need to choose a permanent username, along with a new password.

Your username will be used to login to SB Nation going forward.

I already have a Vox Media account!

Verify Vox Media account

Please login to your Vox Media account. This account will be linked to your previously existing Eater account.

Please choose a new SB Nation username and password

As part of the new SB Nation launch, prior MT authors will need to choose a new username and password.

Your username will be used to login to SB Nation going forward.

Forgot password?

We'll email you a reset link.

If you signed up using a 3rd party account like Facebook or Twitter, please login with it instead.

Forgot password?

Try another email?

Almost done,

By becoming a registered user, you are also agreeing to our Terms and confirming that you have read our Privacy Policy.

Join SB Nation Atlanta

You must be a member of SB Nation Atlanta to participate.

We have our own Community Guidelines at SB Nation Atlanta. You should read them.

Join SB Nation Atlanta

You must be a member of SB Nation Atlanta to participate.

We have our own Community Guidelines at SB Nation Atlanta. You should read them.

Spinner.vc97ec6e

Authenticating

Great!

Choose an available username to complete sign up.

In order to provide our users with a better overall experience, we ask for more information from Facebook when using it to login so that we can learn more about our audience and provide you with the best possible experience. We do not store specific user data and the sharing of it is not required to login with Facebook.